In an effort to address California's time-sensitive housing crisis, lawmakers are aiming for an unprecedented proposal: a $35 billion bond, which could face approval by the electorate next year, according to CalMatters. Yet, the ambitious plan has stirred up concerns of "bond fatigue." As housing advocates and governmental officials push for the proposal, they must confront the challenge of appeasing voters who face issues related to skyrocketing property costs and homelessness.
Two significant bond proposals are being floated: Oakland Democratic Assemblymember Buffy Wicks's $10 billion bond slated for the March 2024 ballot, and Governor Gavin Newsom's $4.68 billion measure to construct housing and expand mental health services for homeless Californians. If approved, these bonds would secure a spot in state history, but would also add fuel to the debate that a bevy of bonds might intensify voter resistance to the plan.
Meanwhile, the Bay Area Housing Finance Authority is considering an additional bond measure ranging from $10 billion to $20 billion, as per the San Francisco Chronicle. This regional bond, aimed for the November 2024 ballot, could benefit cities across the Bay Area. However, it's uncertain how much support their property owners would provide, as they would likely bear an increase in real-estate taxes.
Compounding the issue of voter appeal for bonds is the concern over San Francisco's slow process in building affordable housing units. A notable example, shared by The Real Deal, revealed that the cost of an affordable apartment in San Francisco can reach nearly $1.2 million per unit. High development costs have been attributed to labor and material expenses, as well as to the city's cumbersome permitting processes.
With both the state's housing bonds and San Francisco's affordable housing concerns being under a spotlight, it remains to be seen whether voters will be open to such gambles.
